Other

What is the future value of an annuity?

Unlike a taxable account, a fixed annuity enjoys the benefits of tax deferral. In addition, many annuity companies offer a higher first year bonus rate. To be able to offer these higher rates companies typically require you to keep the funds invested for a period of time or suffer a surrender penalty for early withdrawal. Use this calculator to help determine your annuity value in a given year and compare it to a taxable savings account like a CD.

Savings and Assumptions

Initial balance or deposit ($)

Annual savings amount ($)

Annual increase in contributions (0% to 10%)

Number of years for the analysis (1 to 50)

Before tax return on taxable account (-12% to 12%)

Marginal tax bracket during deposit(s) (0% to 75%)

Marginal tax bracket at withdrawal (0% to 75%)

Annuity Information

Initial rate (-12% to 12%)

Number of years initial rate is guaranteed (1 to 50)

Subsequent expected interest rate (-12% to 12%)

Minimum guaranteed interest rate (-12% to 12%)

Surrender Charges (if applicable)

Year 1 (0% to 100%)

Year 2 (0% to 100%)

Year 3 (0% to 100%)

Year 4 (0% to 100%)

Year 5 (0% to 100%)

Year 6 (0% to 100%)

Year 7 (0% to 100%)

Year 8 (0% to 100%)

Year 9 (0% to 100%)

Year 10 (0% to 100%)

This information may help you analyze your financial needs. It is based on information and assumptions provided by you regarding your goals, expectations and financial situation. The calculations do not infer that the company assumes any fiduciary duties. The calculations provided should not be construed as financial, legal or tax advice. In addition, such information should not be relied upon as the only source of information. This information is supplied from sources we believe to be reliable but we cannot guarantee its accuracy. Hypothetical illustrations may provide historical or current performance information. Past performance does not guarantee nor indicate future results.